Explain Why Positive Economies of Scale in One (Of Two)

question 11

Essay

Explain why positive economies of scale in one (of two) sectors may establish a comparative advantage for the large (as compared to the small) country in the production of the commodity which exhibits positive scale economies.

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Definitions:

Households

Units consisting of one or more people living in the same dwelling and sharing at means such as meals or living accommodation.

Protestant Ethic

A concept in sociology that describes the Calvinist belief in hard work and frugality as means of achieving a person's salvation.

National Culture

The set of shared experiences, beliefs, customs, and values that characterize a country or nation.

Secular Dimensions

Aspects of society that are related to non-religious or worldly matters, emphasizing the separation from religious or spiritual components.